£114m paid to LCF investors ahead of 20 April deadline
The Financial Services Compensation Scheme (FSCS) has paid out £114m to investors in collapsed mini-bond provider London Capital & Finance (LCF) as part of the Treasury’s compensation scheme, ahead of the 20 April deadline.
The FSCS has now paid out compensation for 12,330 bonds totalling £114m, with 88 bonds left to pay.
The FSCS has been administering the pay-out of the Treasury’s £120m compensation scheme that provides 80 per cent of LCF bondholders’ initial investment up to a maximum of £68,000.
The organisation began contacting LCF investors about compensation under the scheme in November last year and said it expected to have made all payments by 20 April 2022.
Of the 88 bonds remaining to be compensated, the FSCS said it will issue cheques for 37 of these in the next few days, while the remaining 51 are cases where it has requested documents that have not yet been provided and it will issue these cheques once it has all the information it needs.
Read more: FSCS urges LCF investors to check their spam folders
Read more: A timeline of FSCS payments to LCF investors
The FSCS said that LCF customers expecting compensation who have not received a cheque by the end of April should get in touch by calling 0800 091 0030.
More than 11,000 LCF investors were left with £237m in losses when LCF entered into administration in January 2019.
